Tips to Consider if You are a Foreigner Looking for a Reputable Moneylender in Singapore

Singapore is one of Asia’s most thriving countries and because of the opportunities that are available in the country, many foreigners are drawn to work and seek their luck. At least 64% of the country’s population are foreigners, working in various industries in the country.

However, living in Singapore for these foreigners is no easy feat. Almost everything in Singapore is very expensive, from the available lodging to the basic necessities these foreigners need to live comfortably in the country.

While these foreigners can borrow from their family and friends, it is not very practical especially if their friends and family are in another country.

Getting a personal loan in a bank would have been the next best thing. Unfortunately, getting one from a bank can be very tedious since the foreigner loans they offer are quite expensive. You will also need to present quite a lot of documents to show you are not a high-risk borrower.

Fortunately, moneylenders are a plenty in Singapore and they offer foreigner loans that are affordable and flexible.

But, before you go to a moneylender to borrow money, here are some tips to help you make the right deal with a trustworthy moneylender in Singapore:

Research about the moneylender

Before you head on out to seek a personal loan, try to research about the background of the moneylender you plan to approach for your foreigner loan.

Considering the popularity of moneylenders in Singapore, there are moneylenders who are hiding behind a fake image and using other moneylender’s licenses to fool people. If you fall into the hands of these fake moneylenders, it will be difficult for you to escape them unless you pay your dues immediately.

Check the official website of the Ministry of Law and look at the registry of moneylenders to verify if the one you are going to seek out is legitimate. You can also check out the list of the Association of Moneylenders in Singapore to be sure.

After verifying that the moneylender you plan to seek out is legitimate, you can then use the time to check out reviews about the moneylender online or through their official websites. You can also use their website to learn about the offers they have for foreigners, what requirements you will need to submit and their usual terms and conditions.

If you have other questions, do not hesitate to ask because these moneylenders will be happy to answer your inquiries to make your application run smoothly.

Determine What Loan You Need

There are a lot of loans available for individuals to avail and could fit whatever needs may have. If you need funds to pay your new home, you can get a home loan. If you need to pay for a car, you can get a car loan. For foreigners who need funds, a foreigner loan is available.

Once you determine what you need, you need to look into the requirements for each one of these loans. Make sure to prepare all the requirements and have them on hand so you won’t have problems

Ask for advice from friends and co-workers

If you have friends or colleagues in the country who have also sought the assistance of moneylenders for their foreigner loans, ask for their advice. They may be able to help you narrow down the right moneylenders for your needs. They can also help you with the requirements that you will need since they already know where to go.

Do not immediately accept “dream” loan offers

In order to get the attention of victims to their offers, illegal moneylenders tend to offer “dream-like” personal loan offers that sounds perfect for your needs.

It could be a personal loan that has super low interest rate or a personal loan that has a longer payment term or low repayment amount. Do not immediately respond to these offers because they are most likely fake offers.

If you want to get a flexible and affordable foreigner loan, ask the moneylender about their offer and if it is possible to get a flexible loan.

A majority of moneylenders today are open to flexible plans if the borrower requests it and if they show signs that they cannot pay on time.

Stray away from moneylenders who solicit from customers

It is not uncommon to receive advertisements online or through phone offering a variety of services and products for use. Personal loans are even offered online and through phone. However, in Singapore, licensed moneylenders are not allowed to solicit their products online or through phone.

They can only advertise in three different areas: business or consumer directories, their official website, or within the premises of their office.

If you are getting solicitations, it is best you report them to the authorities and ignore them completely.

Apply Online or Call and Stay True

Once you select the moneylender you wish to work with and you finally understood all the details about the loan you want, apply online or call the moneylender and follow the process.

When they call you up to follow up on your application, be true to the information you give out because they will check your info closely. It will increase the chances of your loans to be approved.

When they say you can visit their office, bring all your requirements and allow them to review it further. Licensed moneylenders will return your documents once they have reviewed it and explain to you the entire loan before the loan is finalised.

Ask everything you wish to know before signing the contract. They will hand you the money once the contract is signed and agreed on.

Final Thoughts

As a foreigner working overseas, we need to save all the money we can get for the ones we love back home. However, we also need to make sure that we do not let ourselves get sick because we do not have the funds to take care of ourselves while in a foreign land.

If we do not have the funds, do not be afraid to look into foreigner loans. With a simple research and preparation, you will be able to pay these loans in no time.

How To Get Foreigner Loan With A Low Rate In Singapore?

For many foreigners looking for work, Singapore is a worker paradise because the country has job openings for almost all the industries in the world today. When you move to the country, you can be assured that you will be able to experience high living standards, a stable yet growing economy and political system, and a great investment opportunity.

As a result of this favorable and fulfilling environment, many expats who move to Singapore to look for a better shot of life end up staying longer and even staying for good.

However, with the global economy currently experiencing a slow downturn, foreigners living in the country do experience the same economic constraints as that of Singaporean residents. Unfortunately, if they do end up experiencing a financial bind, applying for a personal loan can be difficult due to the strict rules imposed by banks on prospect borrowers and the rates which are added to every loan.

So? How can foreigners bypass this problem?

Foreigner Loan: Definition

A foreigner loan basically is a personal loan that is offered only to foreigners and expatriates of a country where they currently reside. The foreigner or expatriate must be in the country doing either one of the following – visiting, studying, living or working – before they can avail this loan.

What Risks Are Present in Foreigner Loans?

Foreigners are not usually permitted to apply for any type of personal loan because of the risks they present to lenders.

The number one risk they present is the fact foreigners who apply for such loans are the ones who no longer have a regular source of income while in the country and may be unable to pay off their loan. It is also possible that the borrower in question runs off to their home country if they are unable to pay off their loans on time.

If this happens, loan companies, banks, and other credit providers may find it difficult to hold the borrower in place and collect their repayments.

However, it is undeniable nowadays that foreigners and expatriates living in Singapore also need financial assistance one way or the other to help them continue living in the country without problems. If they would try to seek help from banks and other financial institutions, it may take a while for them to get the help they need.

In response to this problem, foreigner loans were introduced.

Take Extra Caution

In Singapore, getting a loan from moneylenders is the most preferred choice of many who need quick cash for any reason. Those with bad financial records or those with no banking history also prefer moneylenders because of their relaxed rules on applications.

However, since they are the go-to people for those who need to borrow money, there are moneylenders out there who are not recognized by the government.

In order to help you choose the moneylender you can approach with your loan application, you can begin by checking out the list of approved moneylenders in Singapore. The list is carefully updated by the Ministry of Law and it can be viewed through their website.

Once you have a short-list with you, you should start researching about their offerings and check if they offer straightforward and helpful foreigner loans for you to apply for. You should also look into the interest rates and fees applied by the moneylenders you are looking for and pick the one that would match your requirements.

When you have picked one to sign up with, make sure that the details of the loan should be clearly defined on their terms and conditions. The loan should also be tailored to your current financial situation to help you pay the loans better. Of course, be wary about moneylenders and financial institutions who would suddenly urge you to borrow more than what you can afford and pay.

Characteristics of Foreign Loans

Aside from being offered to foreigners and expatriates, foreign loans vary greatly from the usual personal loans that are offered to Singaporean citizens. Foreigner loans have a larger interest rate as compared to the standard interest rates on personal loans. However, these interest rates are added to ensure that the borrower and the credit company create a binding contract between each other since the borrower does not have a collateral available.

Foreign loans are also shorter than the usual payment tenure for personal loans and this ensures that the borrower will be able to pay their loans immediately.

How to Get a Foreign Loan Fast and Easy?

For anyone interested to get a foreign loan, here are the things you should have or submit to get your applications approved fast and get a low-interest rate:

  1. You must be living and working in Singapore
  2. You must have a valid Singaporean visa and work permit.
  3. You must have a certificate of employment
  4. Your passport must not be expired
  5. You should have your income/salary documentation
  6. You must present your bank statements and other important documents that would show your status in the country.

If you have more concerns or questions about the loan, you can contact your selected moneylender for more details. You can also take the time to ask your moneylender if they allow restructuring of the loan program to match your needs or if they have other suggestions to make the loan application smoother.

It is important to remember that there are no obligations given to borrowers if the loan package the moneylender is offering is not good.

Final thoughts:

It is very expensive to live in a foreign land, especially if you are just starting to make a new life and job in the country. You may find some financial trouble along the way and it would be great if there is a way for you to get by financially in the meantime while you wait for your paycheck.

By getting a foreigner loan, you will be able to get the money you need to make your life easier in the country and not worry about borrowing from your family and friends overseas.

Choosing The Right Foreigner Loan In Singapore

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Foreigner loans are a huge help for foreigners living in Singapore. This loan type is often available in many developed nations, and especially those that experience a heavy inflow of foreigners. The foreigners could be coming for the purposes of business, work, studies etc.

Singapore is a country that experiences a considerable proportion of foreigners staying temporarily on work permits. Even then, there are several banks as well as licensed moneylender that provide foreigner loans.

Above all, there are many money lending companies you may turn to come to your assistance. All it takes is for you to perform some research. This will make sure that you are aware of what you will be getting into.

Foreigner Loan

Foreign Loans are offered and are eligible to persons who aren’t citizens or permanent residents in Singapore. It is difficult to deal with financial challenges. Mostly for someone who is currently in a foreign country. This loan type will help you cope when you are facing money issues. You possibly don’t know anyone that you could borrow money from. Thus, being able to obtain a loan is very helpful.

It is possible that you’ve assumed that getting a loan from banks in Singapore is one possible answer to your monetary concerns. But, it’s not as simple as you think. This is because even for local residents, having their loans approved takes a long period. There are many documents that have to be submitted. Together with the thorough strict credit checks that are normally carried out. For a foreigner, getting a traditional loan authorized is almost near impossible.

When you are a foreigner in Singapore and it happens you need money for a number of your projects. You may think about applying for foreigner type of loan offered by moneylenders in Singapore. As indicated, this alternative type of funding is intended for helping non-citizens obtain funds. And this is without experiencing extensive stress.

Sadly, there are a number of unscrupulous business owners who try to take advantage of foreigners. For that reason, consider the following simple factors before you choose a moneylender for your foreigner loan.

Fees And Interest Rates Charged

The rates of interest rates charged on the foreigner loans. These are expected to be higher when compared to the resident options. But, you need to clarify the interest rate provided by your money lender. Also, make sure that it’s competitive in that market. In addition, it will help you avoid accumulating huge debts. Such outstanding debts you need to consider before you submit your foreigner loan application.

You need also to realize that licensed moneylenders are permitted to charge some service fees. And in particular when the first contract you sign is not honoured. For instance, there are additional charges for terminating the contract prematurely. Also more fees for any late payment as well as for sending a void cheque.

Loan Options Available

You also need to be aware that there are various foreigner loan options offered by certified moneylenders. Several loan choices mean that it’s possible for you to get a loan plan that suits your specific financial situation.

First, whether they offer both unsecured and secured loans. You will not be in a position to provide collateral as a foreigner thus making this a huge limitation. Second, you need to be clear when you can get personal. The business loans need also be based on your financial needs. Third, look at the possibility of your getting both the long-term and short-term loans.

Maximum Amount You Can Obtain

Prior to applying for personal loans, you need to know the maximum loan amount that is accessible to you from a legal lender. Most licensed moneylenders often have standard ranges in place. This is for protecting their company from bad debts.

Even then, you need to realize that the limit obligated on you can depend on your capability to repayment. However, there are additional conditions that will be assessed. Thus you are able to compare the options you have.

Registration And License Of The Lender

When searching for a dependable moneylender, you have to ensure that the company is licensed and registered. This is an important pointer that the lender you pick is dependable and reputable.

In essence, the company is able to legally provide finances to both foreigners and permanent residents. That means you are protected from any illegal deals that might influence your life. And especially for borrowers who would like to get a loan in Singapore. In addition, licensed moneylenders are obligated to strictly adhere to the set standards. This is stated in the Moneylenders Rules and Act.

Your Ability To Repay The Foreigner Loan

This is one other important factor that you need to look at when applying for a loan. Foreigner loans are can be very handy when needed to be. The loans can assist you in getting back in charge of your finances. Therefore keep in mind to check and countercheck everything while you are getting a foreigner loan.

When you require a foreigner loan in Singapore, make sure you check with a certified moneylender in Singapore. Once you make a loan request through a licensed lender, it’s possible for you to obtain a loan.

Also, keep in mind that when you have any unease regarding your impending foreigner loan. You need to discuss these issues with your lender. This way you will be able to avoid unforeseen financial pitfalls.

Conclusion

Foreigner Loans are very helpful for foreigners living in the country. This loan often is available in most developed nations, and mainly those that are experiencing a heavy inflow of foreigners. Singapore is one such country, experiences a considerable proportion of foreigners staying temporarily on work permits.

Additionally, it is very simple to submit an application because some lenders offer the option to apply online from your home. This makes it a lot easier for you thus taking away the pressure of financial problems. Also, take time to perform thorough research to make sure that you are aware of what you will be getting into.